Coal news and updates

Rio Tinto shares lifted 1 per cent on Thursday morning after the company announced a 50 per cent increase in reserves at one of its Australian coal mines amid ongoing speculation the operation has been placed on the market.

 

The mining giant lifted its resource estimate for the Kestrel mine in central Queensland from 123m tonnes to 185m tonnes.

 

The underground mine, in which Rio owns an 80 per cent stake, produces about 5 million tonnes of coal annually, and is one of several Australian coking coal assets the London-based company has reportedly put up for sale.

 

Earlier this month, the Anglo-Australian miner completed a $2.6bn sale of its New South Wales thermal coal assets to state-backed Chinese company Yancoal.

 

Rio Tinto shares were up 1 per cent at A$68.92 in morning trade in Sydney, while the S&P/ASX 200 was up 0.3 per cent.

 

Source: ft.com